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Sony’s projected annual net loss of ¥90bn ($1.15bn) reversed a forecast in July that called for a ¥60bn net profit, after the company slumped to a first-half net loss.
The Tokyo-based maker of PlayStation consoles and Bravia television sets has been struggling under the weight of a strong yen, while wrestling with the aftermath of the March earthquake and now Thailand’s floods which have dented its production there.
The company’s loss-making television business remains a burden amid fierce competition from rivals such as South Korea’s Samsung Electronics and falling prices in the liquid crystal display market.
Sony posted a first-half net loss of ¥42.5bn compared to net income of ¥56.9bn in the same period of the previous fiscal year. Operating profit plunged 81% to ¥25.9bn.
In the second quarter alone, Sony slumped to a net loss of ¥27bn compared to a ¥31.1bn profit in the same period a year earlier.
For the full year, Sony forecast sales of ¥6.5tn, down nearly 10% from its July forecast, while revising operating profit 90% lower to ¥20bn.
A massive data breach forced Sony to shut down its PlayStation Network and Qriocity services in April with more than 100mn customer accounts compromised, in a crisis that quickly followed the March disaster.
Sony now faces its fourth consecutive year in the red after suffering a net loss of $3.2bn in the year ended March, despite having forecast a return to the black this year.